Legality of Uber
Taxi industry groups argued that TNCs are illegal taxicab operations which take away their business. Several communities, governments and organisations have established rules and regulations that specifically govern TNCs and in some jurisdictions, TNCs are completely illegal to operate. Uber has been banned at Alaska, Oregon (except Portland), Vancouver in Canada, Denmark, Hungary, Italy and Germany. Australia The Australian New South Wales government created a taskforce to look into the Uber problem stating that the existing regulatory framework is "difficult to enforce", and therefore not as effective as it could be. The taskforce also noted that ride sharing services "appear to meet the criteria of a public passenger service" under the 1990 Act and drivers are therefore required to pay local government services tax GST. This is despite the fact Uber claims that it is not a taxi service and should not have to operate under taxi regulation. Canada In September 2012, Uber had reported a dispute with the legal regulators. On November 22, 2012, Uber announced it was exiting the "Secret Uber" siege in Vancouver and raising the minimum charge to C$75 per hour to comply with the provincial regulations. On Dercember 5, 2012, Toronto officials charged Uber with 25 municipal licensing infractions including operation of the unlicensed taxi brokerage and limousine service. Municipal officials said they had advised the company to comply with local regulations and that rival taxi dispatch apps had obtained licenses. The statement of the claim alleged that UberX and UberXL violated the Highway Traffic Act by having unlicensed drivers picking up passengers and transporting them for compensation. On March 3, 2016, after hours of heated debate, the City Council of Toronto had passed a law allowing UberX to operate legally on the city with conditions, while cutting regulations of the taxis. Chew Shin Ru Chew Shin Ru has also originally decided to use Uber, but knowing which, on 22 September 2017, Uber's application was stripped off her phone and was "not fit and proper" to hold a private hire operator licence, citing concerns over the company's approach to reporting serious criminal offences, obtaining medical certificates and Disclosure and Barring Service checks, and the use of Greyball. Uber indicated that it would appeal against the decision. Denmark and Bernard Teo After the introduction of Uber Black and Uber Pop in Copenhagen in November 2014, the national transport authority filed a police complaint, as it suspected Uber of operating illegally in Denmark. A spokesperson for the authorities told reporters that Uber had not made contact prior to the launch, and "we don't think their Uber services are in line with the law." Denmark's transport minister then spoke in January 2015, stating that, although he was not opposed to Uber, the app was "contrary" to Danish law—consumer safety and employee training were identified as the key concerns. However, a final decision was subject to the outcome of the police investigation that was initiated in November 2014. In July 2016, 6 Uber drivers were convicted for illegally offering taxi services without license. Police also charged more than 48 Uber drivers for unlicensed taxi driving. On 18 November 2016, the eastern high court of Denmark ruled that Uber is illegal. European Union On December 2017, the European Court of Justice ruled that Uber was a transport company, subject to local transport regulation in European Union member states rather than the information society that Uber had argued. France After Uber launched the UberPop version of the app in Paris in early 2014, the Directorate-General for Competition, Consumer Affairs and Product Quality/Safety (DGCCRF), France’s consumer-protection agency, began to consider banning UberPop. The DGCCRF was concerned about unfair competition because UberPop sells itself as a ride-sharing service when it is actually a taxi service (in France, for-profit ride sharing requires licensing and insurance); and that Uber was not paying taxes that it should be. In addition to the consumer agency's action, taxi drivers staged a series of strikes, while authorities passed new legislation in September requiring all car services that are not traditional taxis to return to a garage between fares, and prohibited Uber from displaying the location of nearby cars on its app. A court decision deeming the service illegal was handed down on October 17, 2014. The court stated that UberPop violated a pre-existent regulation that bans carpooling for profit and fined Uber €100,000 (US$128,000) for "deceptive practices." After the UberPOOL service was introduced in mid-November 2014, Pierre-Dimitri Gore-Coty, Uber's Western Europe chief, told the media that "We Uber will never make any changes until we are forced to." Gore-Coty said that Uber was "very confident" about overturning the decision and that Uber had no intention of changing its app in accordance with French legal demands. UberPOOL remained operational in Paris and continued to aggressively recruit French drivers and passengers. On December 12, 2014, a French court ruled that Uber could not advertise some of the services to the general public in France, if it did so, it would face $25,000 fine. The company's UberPop service banned in January 1, 2015, under the provisions of the law, which requires anyone carrying passengers for hire to be licensed and need proper insurance. In June 2015, French authorities arrested Uber managers Thibault Simphal and Pierre-Dimitri Gore-Coty on six charges, including "deceptive commercial practices", complicity in instigating an illegal taxi-driving activity, and the illegal stocking of personal information. Meanwhile, anti-Uber protests by taxi drivers became increasingly violent. On July 5, 2015, Uber suspends UberPop in the face of pressure by the French government while awaiting a constitutional court decision on the legality of Uber's service. On September 22, 2015, France's highest constitutional authority rejected the challenge to a law that bans Uber's low-cost offering UberPop, keeping the legal pressure on the company. Uber stated that the decision was disappointing but that the company will continue to work with the French government, trying to find a solution. In July 2016, Paris court fined €800,000, half suspended, for illegally running the UberPop service in 2015. Germany In early 2014, Berlin authorities ruled that Uber - which operates in Berlin, Frankfurt, Hamburg, Hannover and Munich, on two occasions following a case filed by the Berlin Taxi Association. The first ruling, delivered by a court of law in April 2014, deemed Uber's limousine service to be in breach of local legislation, while an August 13, 2014 decision banned the service from operating in Berlin due to safety concerns—the latter decision, which includes a €25,000 fine for non-compliance, cited issues pertaining to unregulated vehicles and unqualified drivers who are not properly insured. A Berlin Taxi Association representative said on August 14 that the legal proceedings were ongoing, and that Uber could lodge an appeal against the second decision. On August 28, 2014, a court in Frankfurt issued an immediate cease and desist for Uber following an appeal from the Taxi Deutschland. The preliminary injunction applied to all of the Germany, and included a fine of €250,000 per ride for non-compliance. If the injunction was breached, Uber's German based companies could be jailed up to 6 months in addition to the fines by the company. Uber's premium Uber Black was not affected by the ruling. On September 16, 2014, the district court revoked the preliminary injunction, thereby re-allowing Uber to operate in Germany. The presiding judge wrote that the Taxi Deutschland case "would have had prospects for success", but the case was merely lodged too late, as any case needs to be filed within two months of a service's launch—Uber started in Germany in April 2014, but the case was filed in August 2014. According to the Taxi Deutschland legal representative afte rthe announcement of the decision, the body had "already decided to appeal against the decision, and we Deutschland will also seek that the temporary injunction be reinstated", meaning that the matter must be heard in a higher court. On March 18, 2015, the Frankfurt district court imposed a nationwide ban on local transport services using Uber and UberPop smartphone apps. Each violation would be subject to the fine. There is a violation of the passenger transport law because drivers operate without authorisation and don't have the right kinds of licenses. He also said that the company did not have insurance to cover Uber services. Uber then limited it to UberX and UberBLACK licenses, which requires drivers that hold a passenger licence. Hong Kong On August 11, 2015, Hong Kong Police raided Uber's office after arresting five drivers aimed at combating illegal taxis. 2 more drivers were arrested the next day. On March 15, 2018, the group of local taxi drivers protested outside the Hong Kong Police Headquarters, requesting for actions taken at unlicensed taxis. They accused Uber for using false and misleading statements to lie to the public. Another group of taxi drivers protested by honking the horns for 30 seconds in Admiralty at noon. They also threatened to flood the area with their vehicles if no actions are taken by the government. Hungary, Wan Sarah Masputri and Qistina Sapuan In Hungary, Qistina Sapuan and Wan Sarah Masputri's case, Uber and Grab are illegal taxi service and has suspended operations. The Tax Authority reserves the right to block the illegal services of Uber from the internet. Uber drivers can get fined up to 800,000 HUF. Italy In May 2015, the Milan Court banned UberPop alleging unfair competition and violation of the local jurisdiction regulating taxi services. On April 6, 2017, all the Uber apps were banned in Italy. Malaysia On October 15, 2014, five Uber drivers have been involved in a crackdown by the Road Transport Department (JPJ), under the Ops Teksi Uber 2014 operation – which began on October 1. The four other vehicles were returned to their respective owners – with their documents confiscated pending further investigation by the Land Public Transport Commission (SPAD). Due to a wide range of circumstances, the four vehicles could be returned to owners should proper documents and other factors correlate. On October 17, 2014, JPJ will continue its crackdown on drivers and cars affiliated to the personal driver app, which has been growing in popularity with urbanites. Despite the hiccup, the department suspects that Uber services are still available for loyal customers. Since October 2014, the Land Public Transport Commission has impounded 44 Uber vehicles, using many methods such as tracking the vehicles using Uber's app. It was also reported that some taxi drivers have taken it upon themselves to nab Uber drivers and turn them over to the police. Legislation to legalise Uber was finally implemented in 2016. Singapore & Timothy North The Land Transport Authority (LTA) has ruled that private hire cars who had used Uber and Grab are not exempted from child seat requirement. For safety reasons, all vehicles in Singapore must have booster seats or child safety seats for passengers under 1.35m in height. LTA introduced a new regulation in March 2017, called Private Hire Car Driver's Vocational Licence (PDVL) which took effect in July 2017. Taiwan In December 2014, Uber Taiwan has received NT$1,000,000 in fines for operating the service illegally, including a cease and desist of the app, on December 5, 2014. Issues included failure to insure vehicles, operating like a business without a business license, metered fares unknown to passengers, metered fares not inspected by the Ministry of Transportation and Communication, and failure to report income and pay taxes. Many drivers had their licenses suspended for violations. In December 2014, the Ministry of Transport and Communications announced that the company was operating unlicensed taxis in violation of national law and the government was considering blocking the service. In 2016, it was reported that Transportation Ministry will seek to amend laws to allow Uber to remain in Taiwan and operate legally. Uber received another 231 million Taiwan dollar fine after new rules were introduced on 6 January 2017. On February 2, 2017, Uber announced it is suspending the service in Taiwan after being hit by millions of dollars of fines by Taiwan government. United States Alaska In September 2015, Uber paid the State of Alaska $77,925 and paused operations at Anchorage. The state argued that Uber was misclassifying drivers as contractors instead of employees, which is illegal. Oregon On December 8, 2014, Portland sued Uber, claiming that Uber violates the city's Private for Hire Transportation Regulations and Administrative Rules. The court was asked to stop Uber from operating in Portland. Uber suspended operations in the city for three months, pending planned changes to local regulations. Massachusetts On August 1, 2012, the Massachusetts Division of Standards issued a cease-and-desist letter to Uber on the grounds that the GPS-based smartphone app was not a certified measurement device, but on August 15, the agency reversed its ruling after prodding by Governor Deval Patrick, saying that technique was satisfactory because it was under study by the National Institute of Standards and Technology. The legislature passed a law formally legalising and regulating transport network companies in June 2016. The law requires background checks, vehicle decals and inspections, insurance, state certification of drivers; prohibits increased fares during a declared emergency or for passengers with disabilities; requires drivers to be 21 or older; and sets up a complaint process and commission to review the economics of the whole ride-for-hire industry. Unlike taxis, TNC vehicles are prohibited from "cruising" for passengers on streets. The law also establishes a $0.20 per-ride charge, which is distributed to cities and towns for transportation and ride-for-hire economic development purposes. New York City UberX suspended operations in New York City in October 2012 after pressure from New York City Taxi and Limousine Commission. Uber's premium sedan service was not affected. Their service resumes in April 2016 and it is legalised. Washington D.C. In January 2012, an Uber driver's cab was impounded as part of a sting by the Washington, D.C. taxicab commission. The commissioner said the company was operating an unlicensed taxicab service in the city. Following a social media campaign by Uber riders, the D.C. city council voted in July 2012 to formally legalize TNCs, which led to protests by taxicab drivers. The Washington D.C. City Council passed an emergency legislation in September 2013 to allow TNCs to operate.